An iconic line from Treasury Secretary Scott Bessent regarding the U.S. intervention on the Yen.

At the same time, Bessent announced that the U.S. Treasury Department would buy more than $6 billion in 10- to 20-year treasury bonds, an announcement meant to curb the explosive upward trend in bond yields.

An announcement that turned out to be fairly disappointing for many, to the point that the U.S. 10Y is approaching 5% and its last 2023 high, a level similar to that of 2008. The same goes for the U.S. 20Y, which has now been trading above 5% since July.

Beyond this disappointment, the conflict with Iran is intensifying and pushing Brent crude back above $100, further fueling inflation concerns, which in turn is eroding investor confidence even more.

The momentum Bitcoin is trying to build is therefore unfolding against a very complex macroeconomic backdrop. Since 2021, the underlying trend in bond yields has been upward, a dynamic quite different from what Bitcoin had experienced since its inception.

It's therefore easy to understand that liquidity is tightening even further, but there's still one positive point worth noting.

The DXY, which had been on a positive trajectory since July 2025, is showing signs of weakness, slipping back below the $100 mark. A genuine break below its 180-day average, sitting at $99, would bring some relief.

Still, Bitcoin continues to face a tense economic and geopolitical environment that has likely weighed on its performance this cycle.

Written by Darkfost